Market Status

This week, sulfur prices generally trended downwards, but there were sporadic price increases. As of February 11, the benchmark price for sulfur from SunSirs was 3,873.33 RMB/ton, a decrease of 8% compared to the beginning of the month (4,210.00 RMB/ton).

Regional performance: Refineries in Shandong, East China, North China, Central China, South China, and Northwest China mainly lowered their prices (by 10-190 RMB/ton), with only sporadic increases; prices in Southwest and Northeast China remained stable.

The price of sulfur in the port market rose slightly. The winning bid price for domestic sulfur was 3,960 RMB/ton, which had a limited effect on boosting the market. However, inquiries were active, and holders remained cautious, leading to a consolidation of sulfur prices at ports. In the short term, the port sulfur market is likely to maintain a high-level consolidation pattern.

Downstream products: Sulfuric acid prices remained generally stable, with some local increases (10-40 RMB/ton in Shandong and Yunnan), consolidating at high levels overall. This provided some support for sulfur demand, but the impact was limited. As of February 11, the benchmark price of sulfuric acid from SunSirs was 1,030.00 RMB/ton, an increase of 6.74% compared to the beginning of the month (965.00 RMB/ton).

The markets for ammonium biphosphate and titanium dioxide were mainly consolidating, with weak downstream demand. Companies were relying on pending orders and cost support, resulting in insufficient indirect demand for sulfur.

Influencing factors

1. The price reduction by domestic sulfur refineries reflects ample supply, while downstream enterprises (such as phosphate fertilizer and titanium dioxide industries) basically finished their pre-holiday stockpiling and new order purchases had stagnated, resulting in weakened demand support.

2. Sulfur at ports was supported by holders controlling the supply, but actual transactions were limited, showing a "high price but no market" characteristic; the winning bids from refineries failed to effectively drive the market, indicating insufficient actual demand.

3. Although the price of sulfuric acid, a direct downstream product of sulfur, had risen in some areas, the trading of end products such as ammonium phosphate was sluggish, resulting in poor transmission of the industrial chain and limiting the potential for further increases in sulfur prices.

Market outlook

Domestic sulfur prices are expected to remain largely stable with minor fluctuations in the next trading day. Refineries may continue to adjust prices slightly due to inventory pressure, but the decline may narrow. Port sulfur prices are expected to consolidate at high levels in the short term. Holders of sulfur are keen to maintain prices, but weak demand will limit the upside potential, and the market may enter a stalemate.

In summary, the sulfur market was generally weak this week, with supply and demand fundamentals driving prices down. However, price support measures at ports slowed the decline. The market needs to wait for demand to recover after the holiday to break the deadlock.

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.